Seniority and merit systems - Compulsory retirement.

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Notwithstanding any other provision of Section 1101 et seq. of this title, it is not a discriminatory practice for an employer:

1. To apply different standards of compensation or different terms, conditions, privileges, or responsibilities of employment pursuant to a bona fide seniority or merit system, or a system which measures earnings by quantity or quality of production or to employees who work in different locations, if the differences are not the result of an intention to discriminate because of race, color, religion, sex, national origin, age, disability, or genetic information; or

2. To give and to act upon the results of a professionally-developed ability test if the test, its administration, or action upon the results is not designed, intended, or used to discriminate because of race, color, religion, sex, national origin, age, disability, or genetic information.

3. To require the compulsory retirement of any person who has attained the age of sixty-five (65) and who, for the two-year period immediately before retirement, is employed in a bona fide executive or high policymaking position, if such person is entitled to an immediate nonforfeitable annual retirement benefit from a pension, profit-sharing, savings or deferred compensation plan, or any combination of such plans, of the employer, which equals, in the aggregate, at least Forty-four Thousand Dollars ($44,000.00).

Added by Laws 1968, c. 388, § 309. Amended by Laws 1981, c. 231, § 8; Laws 1985, c. 165, § 9, eff. Nov. 1, 1985; Laws 2011, c. 270, § 9, eff. Nov. 1, 2011.


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